A Swap in which the total or price return on an Equity index, Equity basket or single Equity is exchanged for a stream of cashflows based on a Short-term Interest rate index (or another index). Equity swaps are a convenient structure for switching into or out of Equity markets, particularly for those that prefer to avoid, or are not allowed to use, stock index futures. Like futures, the price of the Swap is directly related to the Cost of carry, although there may also be Tax considerations.